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The Kudlow Report

News/Business. Larry Kudlow. Larry Kudlow provides his unique perspective on business, politics and investing. New.

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Bobby Jindal 8, Don Luskin 8, Fbi 8, Carl Icahn 7, U.s. 5, Bill Ackman 5, Ronald Reagan 4, Geico 4, Bob Menendez 4, Washington 4, Mark Simone 3, Abc 3, Carl 3, Obama 3, Brian Shactman 3, S&p 3, Louisiana 3, Herbalife 3, Officemax 3, United States 2,
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  CNBC    The Kudlow Report    News/Business. Larry Kudlow. Larry Kudlow provides his  
   unique perspective on business, politics and investing. New.  

    January 25, 2013
    7:00 - 8:00pm EST  

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i like to say there's always a bull market somewhere. i promise to try to find it for you right here on "mad money." i'm jim cramer, and i will see you monday! good evening, everyone. i'm larry kudlow. this is "the kudlow report." call it raging bull, if you want. stocks climb higher again today with the s&p closing above 1,500 for the first time since 2007. we're up about 5% for the year and the best part it's a broad-based rally, which is the best kind. as i've said, a lot of this reflects an economy that looks better than you might think. and then on the political front, president obama's recess appointment to the nlrb declared unconstitutional. and louisiana governor bobby
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jindal calls republicans the stupid party. how about that? and then there is an unconfirmed scandal. i say unconfirmed. did senator bob menendez sleep with underaged dominican prostitutes? this is "the kudlow report" and we begin right now. >> all right. first up, our most optimistic story tonight, stock continue their bull run, the s&p 500 and dow closing in on their all-time highs from october 2007. brian shactman joins us now with all the details. good evening, brian and good work today. >> you touched on the s&p details having its best streak in terms of winning streaks days in a row in eight years but how about the dow. we're now 105 points shy of 14,000. eight components hit new highs
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today. beyond the five on your screen, utx, pfizer and p & g also doing it. now, speaking of history, historically life is good, larry, as you well know when the dow transports show leadership, up another 3% for the week. apple used to be leadership but not right now. the stock hitting a 52-week low and has lost the distinction of being the world's most profitable company, exxon back on top. and there's netflix, huge story in the other direction, even before earnings boosted shares on wednesday, the stock has been an absolute monster in 2013, up another 15% today. larry, 83% year to date. we're not even a month in, okay? that's unbelievable. a quick note looking ahead, more than a hundred companies in the s&p report next week, a few of the most interesting ones, at least to me, caterpillar and
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yahoo! monday, amazon tuesday, facebook wednesday and exxon/mobil on friday. 270 points and an all-time high on the dow. >> medium cap, midcap and small cap indexes are outperforming the big cap indexes, which gives everything, i think, some real bolstering. i like the foundation to this thing. i know there's a construction coming somewhere, but that may be a buy not a sell. brian, thanks for a great report. you hang with us. much more coming. let's go to our two big investors tonight. don luskin and jim le camp. jim, let me start with you. i know there's a correction out there someplace but i'm not here to look for that. i think the fundamentals are good. the economy ended the year better, the large and medium and small cap stocks, they're all doing better. europe is doing better, china is doing better, japan is doing better and i don't want to
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sound, you know, too boomy here but the fact is things have improved, have they not? >> they certainly have improved. there's a number of reasons for it. the economy is getting better. it's firing on more cylinders than it was. you can quibble as to whether it's four cylinders or five cylinders but the economy is doing better. more importantly, we're seeing a great asset allocation out of bounds into stocks. the fed has finally gotten what it wants, it's forcing more risk taking. pour more money into stocks and we're seeing individual pour more money into stocks. i like what seeing out of a lot of the metrics you mentioned, the transports and momentum stocks are breaking through and carrying their move. sentiment has gotten a little too bullish. from a short-term perspective, we may go into a 5% correction or so but i agree that would be more of a buying opportunity or not. i would quibble on japan and
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spain but for now i think the market looks pretty good. >> don luskin, on japan i think the depreciation of the yen -- a lot of the european banks in so much trouble paid back twice as much of the loans to the european central banks. japan, china, the usa is doing better. the central banks are easing, don luskin. what's wrong with this picture? >> nothing's wrong with this picture. if you're an investors, you look at all the good things happening in the world, all the horses will get to the finish line, your task is to pick the fastest horse. japan solving a 20-year problem of deflation and too strong a currency in an economy driven by exports. all over europe for the last three years facing an extensi
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existential crisis. these are all great things for the global economy. wait, i haven't mentioned the u.s. what have we done? we've raised taxes by $200 billion a year. the reason that u.s. stocks are up 5% after this horrible thing we've done to our selves that under norm circumstances would cause a recession is because we're in a global economy and every other major country in the world is doing the right thing while we're doing the wrong thing. that's propping us up. we're fine, we'll have a great year. these other countries doing things right, that aren't kicking the can down the road, they're going to have fabulous years. that's where you want to put your money, my friend. >> i was reporting in 2007 when we hit dow 14,000 and everyone got slammed on that. there's a hesitance at these levels. what's not getting talked about enough is the impact on consumer sentiment. if you go to any coffee shop,
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grocery store, anywhere in this country, people are looking at their 401(k), they feel better and i think that will translate into positive consumer spending, which filters into the whole economy. >> the retail investors is getting involved. the money flows are ramping up tremendously on the retail side. i would disagree with one thing. don and i always find something to disagree on. where i will disagree is i think there's a lot of countries kicking the can down the road. japan is printing more money. >> that's what they should do. japan should print money. >> that's not kicking the can down the road. that's -- >> hang on. i just want to add this one thing. i don't think it's the most important subject but i just want to say that after going through 20 years of deflation, japan is now reinflating and the currency is falling. i think that's good. but the main point, don luskin, brian shactman is reporting a
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lot of the banks have had tremendous performance, united technologies is doing well, staples, pfizer, 3m, johnson & johnson doing well, transports, unbelievable what the transports are doing, airlines, trucks, railroads. in other words, there's so much balance -- i know there's a correction but with all this balance isn't the foundation solid, don luskin? >> it is. it's fine. i'm not trying to tell you that u.s. stocks are going to go down in 2013, i'm just telling you there are faster horses on this track. i was fascinated by the question of whether senator menendez is sleeping with underage prostitutes. i have the answer to that question, it's not a wink. >> nod a wink? i don't know -- >> he's not sleeping with them, it's not a week. >> i no position on the story. i want to make that very, very clear. jim lacamp, what would you be buying now, after this
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phenomenal week, maybe we're overshooting a bit, how would you be playing it as we go into a new week? >> i like the emerging markets quite a bit. i would be looking to buy hong kong and mexico. here in the u.s. we're still seeing leadership to things related to home building, not necessarily the home builders by themselves but things like lumber liquidators, home depot. they're still great stories. you have earnings growth that is well above expectations. beyond that, larry, i think another thing that's going to be positive for this market is that second quarter expectations are really low for the market here and we're seeing revisions really come in actually okay this quarter. so we set a low bar and i think the earnings are going to continue to be a driver for this market. >> brian, on the thompson numbers, 68% of 147 reporting companies are beating on profits. 65% are beating on sales. now, i know the bar was lowered for profits and sales, but still
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they're coming in a little bit better. how significant is that and with all these companies reporting next week, what are the expectations? >> i think the expectations are they will continue to exceed those reduced expectations. the thing i want to point out to people is i look at revenues w now. it seems to ebb and flow. companies have proven over the last five years they can be more efficient and know how to cut cost. >> what happened to apple? revenues are disappointing. >> if amazon doesn't grow revenues, we know they're investing heavily. >> as all these companies come out again, you're saying watch the revenue side at least as much as earnings if not more so. >> yes. >> don luskin, would you be a seller next week, don luskin? >> if you're just trying to do one week at a time market timing, yeah, it feels like there's got to be a correction out there somewhere. but, you know, you just got to
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be a little bit careful here, folks. yeah, we're having a good earnings season but if you dollar weighed it and looked at the performance of big companies with big dollar earnings versus the smaller companies, only 13 or 14 of the companies account for all the beat in dollar terms. it's not as solid as it looks and we don't know what is going to really happen when we've gotten through a month or two with people opening up their pay pact packets and joe six pack and susie cream cheese finding they have 2% left. these are people living paycheck to paycheck, don't have credit lines anymore, housing atm has gone belly up. consumption growth has gone down, larry. >> i hear you. a lot of risks to washington, d.c. but we don't have time to go through they. don luskin, thank you, brian shactman, thank you.
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>> during the president's address, he said we are not a nation of takers. au contraire. half the country is getting benefits. and a feud that came to a head today on cnbc. it got personal. >> this is not an honest guy. he takes advantage of little people. >> i appreciate, bill, that you called me a great investor. i thank you for that. unfortunately i can't say the same for you. >> we're going to have more clash of those titan a little later. as always, don't forget free market capitalism is the best path to prosperity. maybe we'll get some in washington to help this rally. we'll see. we'll be right back.
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remember when president obama said in his inaugural address that he wants government to be the great income and wealth leveller in order to
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redistribute from the haves to the have notes? >> the commitment we make to each other, these things do not sap our initiative. they strengthen us. they do not make as you nation of takers, they free us to take the risks that make this country great. >> all right. but in today's wall street journal, nicholas eberstadt reply, yes, we are a nation of takers. america's welfare programs dispense entitlement benefits of more than $2.3 trillion a year! here now former chief economist to vice president biden and jim from the american nt prize institute. jared, $2.3 trillion a year is a big number and it bothers me
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that we're corroding the american work effort and we're doing some damage to society with all this dependency. >> i can make you feel much better. first of all, before i got here, i added up social security, medicare and medicaid. i got $1.6 trillion so mr. eberstadt needs to check his numbers. here's the fact -- over 90% of the dollars we spend on entitlements go to three types of people, elderly people, disabled people and people who are working. if you want to tell me people who are retired and benefiting from social security and medicare, if disabled veterans, if people who are retirees who paid into these systems throughout their careers are takers, i'm not going to believe you because i know you're better than that and i know jimmy p. is better than that, too. so let's get away from this taker stuff. the president's right. it just doesn't work. >> go ahead, jimmy. go ahead. >> back about 1935 we had a democratic president franklin roosevelt and when talking about
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the welfare state, the dole, he called it a narcotic, a destroyer of souls. then the left forgot about that for about 60 years, woke up in the mid 90s for welfare reform and forgot about it again. we've had an explosion of people getting social security disability at the same time when the workforce has become less physical, fewer injuries and yet an explosion of people on disability. why? because those are people who have been misdiagnosed or who are i'm sorry to say on the dole, who should not be getting disability payments. we are create being exactly the thing franklin roosevelt warned us against, which is a narcotic, a destroyer of souls, a destroyer of our labor force. >> jared, the odd thing about this story, the odd thing about this story is that the unemployment rate is coming down. we're in a modest recovery. and yet these small entitlements like the disability that jimmy
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mentioned keep rising and rising and rising. we always talk about food stamps. this disability thing, we're actually paying people not to work, jared. that can't be work. >> the disability thing is very misleading, what jimmy was just taking you through. i'll post something later on my blog that shows you how much of the disability rates have to do with older people. >> demographics does not explain that. >> as jimmy suggested with welfare reform, our welfare system is much more professional work than it's ever been. the earned income tax credit has become more important, more people or food stamps are working, more people on welfare are working. 90% go to people who are elderly, disabled or working. >> jared, do you acknowledge, just to take one example, that continually extending unemployment insurance can create a disincentive for people
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to seek work. do you concede that at least? >> here's the thing. if we were at full employment, i would totally agree with you. but with an unemployment rate stuck too close to 8%, i very much disagree with you. the most careful research on this has shown the extension of unemployment insurance explains less than half a percent of the increase in unemployment. >> i think you're refusing causality between unemployment and the insurance rate. >> president obama indicated he didn't want to take on the entitlement, social security and medicare in particular. he called them insurance funds. but the reality is, jared, they're not insurance funds. insurance funds are geared to pay for themselves through premium adjustments and other means. we're going to have to put tens of trillions of dollars to fix medicare and some of that to do
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social security. and that means it's not insurance, it's a transfer payment. it's just another government dependency transfer payment. that's what bothers me about this. >> i understand but you're painting with much too broad a stroke. you're right about private insurance but these are social programs. today's generation pays for the retirement benefits of the generation that preceded it. where eberstadt's numbers are completely -- as my grandmother would say, he completely lumps in the national cost problem. it's worse in the private sector than the public. social security costs are manageable. if we don't manage the medicare pressures, we'll -- >> that's a perfect example. we're going to have a health care system where we're going to be sending checks to buy health care insurance for families
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making almost $100,000 a year. that's what i mean by expanding the welfare state. >> those families may have to pay higher premiums and i think that's a reasonable policy. >> because of obama care. >> i got to cap this. you're both great. i just think that we're worried about damaging the social fiber and work ethic of this country. >> we're in this together, larry. >> more to be revealed, two great pals. >> thank you. >> different story. a federal court tells president obama his own labor relations board recess appointments were unconstitutional. and governor bobby jindal calls republicans stupid. and an unconfirmed sex scandal involving a u.s. senator. it is unconfirmed. we got all that coming up just ahead. [ female announcer ] what if the next big thing, isn't a thing at all?
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if your bank takes more money than a stranger, you need an ally. ally bank. your money needs an ally. cnbc is the talk of the internet tonight. a huge argument between two ult ra rich hedge fund guys, bill ackman and carl icahn. >> i simply said to him, look, carl, you are no friend of mine and that was it. and every time he said -- he goes on tv, i'm going to defend myself. >> i never said i want to be friends with you, bill. i wouldn't be friends with you. >> okay, carl. >> you said you'd like to be friends so we can invest together. >> you think i want to invest
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with you? let's move on. >> new jersey senator bob menendez dragged into ugly allegations. now the fbi is reportedly investigating him and his alleged -- alleged involvement with underage prostitutes. in the next half hour, "the kudlow report" is loaded with allegations and accusations. stay with us because we're going to be fair and balanced on this. trust me. hey! did you know that honey nut cheerios
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welcome back to this "kudlow report." we're all used to financial titans squaring off but it's usually in a board room, not a cable television. a long standing grudge between bill ackman and icahn turned into a slug fest. and bobby jindal said the republican party needs to grow up and start being the stupid party. >> the fbi reports they are investigating senator bob menendez on accusations he
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purchased prostitutes and attended sex parties in the dominican republic. he has rejected this party for months and much of this story frankly is still unconfirmed. joining to us explain the allegations and the newly surfaced evidence, executive editor at "the daily caller." what is the new evidence that has emerged? >> about 36 hours ago we received a cache of documents, about 58 pages of e-mails between a source in the dominican republic, abc news, the fbi and an organization called citizens for responsibility and ethics in washington. these e-mails stretched from last april through mostly through the end of the year through into early december and demonstrate somebody in the dominican republic witrectcontag prostitute, some of them underage was blowing the whistle on the senator and providing specific evidence, the names and
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ages of the young women involved, their handwritten testimonies and very specific evidence about locations and times. we've confirmed what we can at this point, including air travel records from private jet of a donor to the senator, who brought him to the dominican republic on several occasions. but as you said, a lot of this is unconfirmable at this point. it would be a felony if it were all true. >> listen, i'm just going to say from the menendez camp, quote, this is the same unsubstantiated garbage that's been pedalled for months. one of the things that troubled me about your article is that the ethics crowd, the ethics woman, the ethics organization in washington, d.c., they have stopped investigating and they never posted this new dossier on their web site. and secondly, abc news has been part of this discussion going back to last year 2012 according to your account in "the daily
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caller" and they are not pursuing it and they have not put the documents on the internet. why is this, if the stuff is new, if the stuff is good and the stuff is solid, why are those two crowd, david, why are they staying away? >> you do the math. it's an election year. you have an organization like the citizens for responsibility for ethics washington crew which leans far to the left and abc news, which isn't a hard charging group against liberal politician, i don't think either of those had interests in going after him in an election year. we had two of the women on camera. those women weren't underage but we surfaced two of those women and broadcast on our web sites those callers. >> were those the women investigated by the fbi? >> to my knowledge those two women were not even among the six or seven that appear in this
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new documentation. as you might expect, the fbi isn't about to confirm they're investigating a sitting senator, so what we have are the e-mails. they show very clearly that a specific case agent in miami was receiving information about these women, said in one of those e-mails to the source that the things you provided for us so far check out, we're able to confirm most of it and but these are other women now that we're talking about, including some who are underage. so we reported back in november that he was soliciting and using prostitutes in the dominican republic. what's new about it is that some of these girls were as young as 16. one wrote in handwritten testimony she remembers when she was paid to have sex with the senator because it happened near her 17th birthday. this is what becomes a felony. >> look, i'm not taking sides in this. we're just trying to get to the bottom of it. i just want to ask, it's reported in your "daily caller"
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piece that people know that at least one fbi agent from miami has interviewed one of the alleged young women. is that true? can we at least establish that the fbi has been interviewing? in fact, it goes back to last august, if i'm not mistaken. is that true? is that substantiated? >> i have a source inside the fbi and a recently retired agent, they're being very coy. one of them told me flatly you're never going to get the fbi to confirm that investigation. but they referred specifically to that investigation as though it exists. the e-mails tell the story and we encourage people to look at them. >> all right. i got to leave it there. david martoska, thank you very much. >> the obama administration today suffered a stinging rebuke from a federal appeals court, the court ruling obama's recess appointments to the very pro
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labor national labor relations labor board were unconstitutional. and that decision to jeopardize his recess appointment of the liberal regulator to head the consumer financial protection bureau. is all of this unveiling more abuse of power from the white house? joining us jimmy williams, sara fagan and mark simone. just on this menendez story, mark simone, again, i can't report anything that i can't report. do you have any comments on what -- >> it would be a terrible scandal for these prostitutes to now be associated with bob menendez. >> hold on, let him finish. >> see that's funny. that's pretty good. >> i would hope this is not true. but i don't know. you'd think if there were no fbi investigation, menendez would have gotten them to put out some kind of statement. he's got a big problem if he just took those trips because that's a donor, that's a huge gift and apparently he didn't
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report that. >> that's a really important point. these are third-party trips, in other words, they're not business trips, they're financed by a third party and none of it shows up on the ethics committee web site. >> that's a serious violation. throughout his career he's always had people reporting him to ethics panels and committees. who knows. this kind of allegation against him has been going on for some time. >> sarah? >> think about all the scandals we've had over the last ten years. when there is smoke, where has there not been fire? i think it's a troubling allegation. >> but we don't know. it's not confirmed. >> it's not confirmed. but anthony weiner spent weeks saying there was never any there there and there was. >> this guy you just had on from "the daily caller," go to the senate ethics committee. they'll investigate it with the fbi. if he's guilty, he goes. if he's not, shut the hell up.
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>> let's go with the supreme court, they said only the end of the year recess can he appoint officials. this whole lawsuit came from a small businessman out west someplace where they tried to force him into collective bargaining with the union. the nrlb is so pro union. does this turn the tables on mr. obama? >> it turns the tables on the president. and it really calls into question the value of the nlrb. here's an organization that the president has increased the funding by in this time of record deficits by $30 million since he took office, yet we have fewer people in unions. take the person he appointed, richard griffin, who is now under investigation for federal racketeering when he was the head of the general counsel at the operating engineers. so this is going to shine a big spotlight on an organization that has been out doing some
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pretty troubling things to american business. >> now, the other -- the two other pieces real quick, richard cordray, who is kind of a follower of elizabeth warren on this consumer financial protection board, an anti-bank regulation guy, his appointment may go down because it was made during the recess. >> the reason for the appointments was to get a quorum. he's trying to get him reconfirmed but he's trying to change the definition of a recess. it's understood to mean once the session is over. >> over, over. like end of year over. >> they take a recess every day for lunch. you'd -- >> no, not true. the senate adjourns for lunch. that's different. >> are you going to defend obama or the court? >> i'm going to defend the court because the court was right. here's the problem, jorgeorge b
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appointed 171 people in the executive branch in recess appointments and no one said a word. >> jimmy, that was different. it was during a recess, an actual recession. >> 171 were intra session. >> i was there, i remember. here's my problem with this -- >> i wanted to say to be fair again, we looked at the numbers and you're dead right. >> i don't like any executive branch telling the senate what it should and shunting doing. how would the white house like it if we came into the cabinet room and said i don't like how you're running the west wing, you're not doing it very well. >> you worked for reagan. that's a different issue. >> we can have a debate about recess appointments but that's not what this is. this is about the president usurping the senate's power. >> i agree with you. it has nothing to do with the nlrb. most people doesn't even know what that is. >> the nlrb -- >> but who cares -- i don't even
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give a dan about the nrlb. >> bergdorf goodman cares about it. it allowed the ladies shoe department, two people to organize, potentially putting dozens of different unions in one store. >> okay. >> guess what? it's still a violation of the senate's prerogative. that's my problem. >> mark, there's other stuff. last summer obama used his sort of imperial power on immigration, right? he just waved the magic wand, executive order and said the kids of the illegal immigrants who have been here can stay here and go to school. maybe that's good policy, i'm very sympathetic to it, but he didn't bring it to any vote. a lot of people on the gun control debate he's about to launch into executive powers, too. this is all sort of a piece. do you think this court decision will slow him down? >> absolutely. it may go to the supreme court, this decision. >> it will go to the supreme court. >> will it slow him down -- take
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gun control for example. >> it's got to slow him down. he can't lose another court ruling. a couple of these, it just looks awful. >> the president of the united states was a senator for four years. by the way, the vice president of the united states was a senator for what, 3,000. i suggest the sitting vice president and sitting president of of the united states, you pay attention to your branch and let the senate do its job and the senate republicans need to stop filibustering these nominees both big and small. enough of the filibustering. 115 in the last congress. >> everybody stay put. it is the top of the financial world. a feud between it would have the richest men on tv. you don't want to miss this. see life in the best light.
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a pair of business titans, bill ackman and carl icahn squared off today and it was explosive. the grudge has been building a long time and it boiled over on "fast money halftime report." >> larry, their feud goes back a
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decade when bill ackman was a young hedge fund manager who did a deal with carl icahn, who was already an investing legend. most recently it's turned to herb herballife and today it all spilled out on live tv. >> 330 slides, not scaring people but going through the facts about the company. we did exhaustive research over the year and a half. we'll either be proven right or wrong. we shorted the stock, we've not covered our shares and we have more to come, by the way. we have some question, the company has been us the opportunity to ask, we will have responses for every issue they raised in their response of the presentation to us. what i thank carl for is he certainly helped high low
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pressure herbalife. congratulations on a good trade. i don't think there's any real investor who can own this long term. we believe it's a pyramid scheme and can prove that to a high degree of certainty. >> i appreciate, bill, that you called me a great investor. i thank you for that. unfortunately, i can't say the same for you. >> wow. so what began as a business deal gone sour has now definitely gotten personal. >> after the whole thing he called me up and literally said, bill, we can be friends now. i wish i had a recording. i said, look, carl, you are no friend of mine and that was it. every time he goes on tv, i'm going to defend myself. >> i never said i want to be friends with you, bill. i wouldn't be friends with you. you said to me you'd like to be friends so that we can invest together. >> do you think i want to invest with you? >> i wouldn't invest with you if you were the last man on earth.
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>> let's move on. let's move on. >> larry, it was one of those rare moments on live television. we never learned if carl icahn is on the other side of the trade to herbalife but not a moment we'll forget any time soon and i don't think these guys are going to be sitting down at the regency for breakfast any time soon. >> it's great tv and congratulations on that. but i didn't really understand. they really weren't arguing sub it a -- substanceively. >> clearly the animosity has just lasted for a number of years. carl icahn more recently has taken issue with the fact that bill ackman has gone so public with his short play on herbalife
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and how aggressive he's been publicly with that, he's taken public issue with that and that led to this last brouhaha. >> carl icahn i know has been very public when he's taken a position in deals whether it's long or short. this is not his first rodeo. >> no, you know many times they'll show up at a conference here in new york, las vegas, wherever across the country and they'll make this big presentation in front of 500 to a thousand people and state their case. carl icahn has been at those presentations as well. bill ackman was quick to point that out, too. >> congratulations on this brouhaha. both sides a little beat up today. first a federal court tells the
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president he abused his power on recess appointment. then governor bobby jindal, a possible republican presidential hopeful tells his party they're stupid. living with moderate to severe rheumatoid arthritis means living with pain. it could also mean living with joint damage. humira, adalimumab, can help treat more than just the pain. for many adults, humira is clinically proven to help relieve pain and stop further joint damage. humira can lower your ability to fight infections, including tuberculosis.
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♪ we've got to stop being the stupid party. i'm serious. it's time for a new republican party that talks like adults. it's time for us to articulate our plans and visions for america in real terms. it's no secret we had a number of republicans that damaged the
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brand in year with offensive and bizarre comments. i'm here to say we've had enough of that. >> with republicans leaders gath gathered in charlotte, north carolina today to figure out how best to reboot the party's image of a 2012 election losses, is louisiana governor and possible 2016 presidential contender bobby jindal right? has the gop become the party of stupid? we're back with our very smart panel right now, jimmy williams, sara fagan and mark simone. you are a veteran and distinguished republican strategist. where do you think he's going with this? >> i think he's trying to distinguish himself from a pack of potential candidates that is already emerging. i agree with some what he said. the party needs to do a better job of being a growth party that talks about lifting people up and lifting all people up. he's right about that. >> let me just go back to one. jindal according to news reports
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says "stop obsessing with identity politics." then he says "skin pigmentation should not dictate voter activity." i would just say they have a problem with outreach to minority groups. i'm not sure where jindal is going with this? he's saying there is no problem? >> no, he's saying we need to do a better job of communicating with people on issues and bringing people in. you contrast his style with marco rubio who has taken a very different track. he has the potential to rebrand the gop. what bobby jindal is doing is a good sound bite and there's some things he's saying that are true but ultimately he's not doing
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anything to move the ball. >> i haven't read the whole speech. mark simone, are republicans stupid and is it wise for bobby jindal to come out and say that? >> i think it was him trying to get a little hyperbolic, trying to get attention for himself, was clumsy in his wording. i like jindal, he's a good leader, he's not presidential material. he has this middle management appearance. when ronald reagan spoke, the whole thing changed. when bill clinton showed up, the democratic brand came back. it's just a matter of time before some great communicator comes along and can say this in the right way. >> jimmy, i think -- i know mr. obama is sitting high, though he got whacked by the federal court today but i think democrats can be pretty stupid, too. if they reject entitlement reform, if they say we're just going to raise taxes like this budget deal, just taxes and no
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spending, if they don't deal with federal debt and they don't deal with the economic growth problem, then the democrats are going to be stupid and they're going to give away what advantage they have now. >> charlie cook wrote a really great column today about this issue in 2016 it will still be about the economy, stupid, right? here's the problem. the republicans, you just said bill clinton and ronald reagan. i appreciate that. you also described a dead white man and a nearly dead white man. the republican party has got to get off this issue of only appealing to white men and women over 50. the country is changing and it's changing rapidly. >> in fairness we're having a conversation about bobby jindal -- >> but you dismissed him as a serious presidential candidate. >> i didn't dismiss him. i said his tactic was different than someone from marco rubio. >> people were saying this in 1979 and ronald reagan was a much older guy then and his
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rhetoric gripped the station. >> i understand that. but you didn't have 50,000 latinos turning 18 every single month. >> but ronald reagan really appealed to latino. >> he appealed to all kinds of people. >> and jeb bush appealed to latinos. >> the republican party, its platform is theology. you have a gender gap with win over 20 points, blacks over 70 points, gays over 80 points. you can't continue to be a viable political party and be in the majority. you can't do it. >> i like the idea that jindal said republicans should be the party of growth, not austerity. but i'd like to see him flesh that out. now, he is trying to slash tax rates in louisiana as an example. is that what a gubernatorial becoming a presidential candidate should do. >> he's done a very good job, he's ban very good governor who has articulated the values of the gop to a broad group of people. so in that regard, larry, you're
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right. we need this next generation of republican leaders, jindal, ryan, christie, to go out there and talk about lifting the middle class up, not just protecting wealthy people, lifting the middle class up. in fairness to all of them, they come from pretty blue collar backgrounds. they'll be pretty good at this. >> but this isn't about that. >> great to see you. mark simone, that was one of the funniest remarks i've ever heard about menendez. i'm larry kudlow. thanks for watching. have a great weekend, everybody. [ engine revving ] ♪ [ male announcer ] every car we build must make adrenaline pump and pulses quicken.
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